EMBRAER EARNINGS RESULTS 4th QUARTER AND FISCAL YEAR 2024

Rhea-AI Summary

Embraer (NYSE: ERJ) reported strong financial results for Q4 and FY2024, with record-breaking annual revenues of $6.395 billion, up 21% year-over-year. The company delivered 206 aircraft in 2024, a 14% increase from 2023, meeting guidance targets for both Commercial and Executive Aviation.

Q4 revenues reached $2.311 billion, with adjusted EBIT of $265.1 million and an 11.5% margin. The Defense & Security segment showed remarkable growth of 40% YoY. The firm order backlog reached a historic high of $26.3 billion, representing a 40% YoY increase.

For 2025, Embraer projects Commercial Aviation deliveries of 77-85 aircraft and Executive Aviation deliveries of 145-155 aircraft. Revenue guidance is set at $7.0-7.5 billion, with adjusted EBIT margin of 7.5-8.3% and adjusted free cash flow of $200 million or higher.

Positive

• Record annual revenue of $6.395B (+21% YoY)
• Historic high backlog of $26.3B (+40% YoY)
• Defense & Security revenue growth of 40% YoY
• Strong adjusted EBIT margin of 11.1% in 2024
• Achieved Investment Grade status from all 3 major rating agencies
• Net debt-to-EBITDA ratio improved to 0.1x from 1.4x

Negative

• Projected lower EBIT margin for 2025 (7.5-8.3% vs 11.1% in 2024)
• Expected lower free cash flow in 2025 ($200M+ vs $675.6M in 2024)

News Market Reaction

+10.75%

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+10.75% News Effect

On the day this news was published, ERJ gained 10.75%, reflecting a significant positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

SÃO PAULO, Feb. 27, 2025 /PRNewswire/ -- EMBRAER S.A. (NYSE: ERJ; B3: EMBR3) RELEASES ITS FOURTH QUARTER AND FISCAL YEAR 2024 EARNINGS RESULTS.

HIGHLIGHTS

• Guidance for 2025: Commercial Aviation deliveries between 77 and 85 aircraft, and Executive Aviation deliveries between 145 and 155 aircraft. Total company revenues in the US$7.0 to US$7.5 billion range, adjusted EBIT margin between 7.5% and 8.3%, and adjusted free cash flow of US$200 million or higher for the year.
• Revenues totaled US$2,311 million in 4Q24 and US$6,395 million in 2024 highest level ever, +21% yoy and at the high end of guidance. Highlight for Defense & Security revenues +40% yoy growth.
• Adjusted EBIT reached US$265.1 million with an 11.5% margin in 4Q24. In 2024, the company reported adjusted EBIT of US$708.2 million and 11.1% margin (US$558.2 million and 8.7% ex-Boeing) above guidance.
• Adjusted free cash flow w/o Eve was US$995.5 million during the quarter and US$675.6 million in 2024, supported by higher number of aircraft delivered, strong performance in sales (pre downpayments – PDP's) and Boeing arbitration. Consequently, the company finished 2024 with an US$110.7 million net debt position (w/o Eve).
• Embraer ended 2024 with a 0.1x net debt-to-Ebitda ratio, down from 1.4x in 2023. Moody's upgraded Embraer's credit rating from "Ba1" to "Baa3" with a stable outlook in December. Consequently, all three main U.S. rating agencies classify the company Investment Grade (IG).
• Embraer delivered 75 jets in 4Q24, of which 31 were commercial jets (20 E2s and 11 E1s) and 44 were executive jets (22 light and 22 medium). In 2024, the company delivered a total of 206 aircraft, of which 73 were commercial jets (47 E2s and 26 E1s), 130 were executive jets (75 light and 55 medium) and 3 multi-mission C-390 Millennium in Defense & Security; +14% versus the 181 aircraft delivered year over year (yoy). Deliveries were in line with guidance for both Commercial and Executive Aviation.
• Firm order backlog of US$26.3 billion in 4Q24 – the largest ever recorded by the company in its history, more than 40% higher yoy and 16% higher quarter over quarter (qoq). For more information please see 4Q24 Backlog and Deliveries release.

For additional information, please check the full document on our website ri.embraer.com.br

INVESTOR RELATIONS
Guilherme Paiva, Patrícia Mc Knight, Viviane Pinheiro, Eliane Fanis, Marilia Saback and Marcelo Cuperman.  
(+55 12)3927-6017
investor.relations@embraer.com.br
ri.embraer.com.br

CONFERENCE CALL INFORMATION
Embraer will host a conference call to present its 4Q24 and FY2024 results on:

Thursday Feb 27, 2025
ENGLISH: 7:00 AM (NY Time) / 9:00 AM (SP Time).
Translation to Portuguese.

To access the webcast click here.

Zoom webinar: 838 5827 6373

Or alternatively to participate by phone call:
U.S.: +1(929)205-6099, +1(253)205-0468
Brazil: +55(11)4632-2237, +55(11)4680-6788

We recommend you join 15 minutes in advance. 

 

View original content:https://www.prnewswire.com/news-releases/embraer-earnings-results-4th-quarter-and-fiscal-year-2024-302387668.html

SOURCE Embraer S.A.

FAQ

What were Embraer's (ERJ) total aircraft deliveries in 2024?

Embraer delivered 206 aircraft in 2024: 73 commercial jets (47 E2s, 26 E1s), 130 executive jets (75 light, 55 medium), and 3 C-390 Millennium military aircraft.

What is Embraer's (ERJ) revenue guidance for 2025?

Embraer projects total company revenues between $7.0 to $7.5 billion for 2025.

How much did Embraer's (ERJ) order backlog grow in Q4 2024?

Embraer's order backlog reached $26.3 billion in Q4 2024, up 40% year-over-year and 16% quarter-over-quarter, marking the largest backlog in company history.

What was Embraer's (ERJ) free cash flow performance in 2024?

Adjusted free cash flow excluding Eve was $675.6 million in 2024, with Q4 contributing $995.5 million.

How did Embraer's (ERJ) credit rating change in 2024?

Moody's upgraded Embraer to 'Baa3' investment grade rating with stable outlook, joining the other two main U.S. rating agencies in classifying ERJ as Investment Grade.